Sberbank increased rates on dollar deposits

Sberbank has increased rates on some dollar deposits, according to information on the state bank’s website.

Details

• The maximum rate increased from 1.35 to 2% per annum, subject to opening a dollar deposit online and depositing an amount of $20 thousand or more (“Save” deposit). If you open a deposit at a bank branch, the rate will be 1.7%.
• “Rates have been increased across the entire line for all clients,” explained a Sberbank representative.
• Rates on ruble deposits have not changed, the maximum is 6.7% for the Online deposit.

Context

• At the end of August, depositors withdrew $1.5 billion from their accounts in foreign currency from all Russian banks. According to Bloomberg, Sberbank accounted for the largest outflow - $1.2 billion. Thus, the volume of foreign currency on deposits of the state bank fell to a three-year minimum.
• The reason for the reduction in foreign currency deposits is the fear of their freezing due to new US sanctions, Alfa Bank chief economist Natalia Orlova is sure . The anxiety of clients of state-owned banks is understandable - throughout August the market discussed the possibility of introducing tough US sanctions against them, which could freeze dollar payments to state-owned banks.
• In September, the outflow of dollar deposits may accelerate - clients should have been impressed by the statements of the head of VTB, Andrei Kostin, who directly allowed the forced conversion of foreign currency deposits into rubles. Even the comments of the head of the Central Bank Elvira Nabiullina and Dmitry Peskov that they are not considering the possibility of forced conversion of foreign currency deposits into rubles are of little reassurance. Kostin did not just mean forced conversion; he said that the bank, in the event of sanctions, is considering the possibility of paying in rubles to clients who want to close dollar accounts.
• However, the head of Sberbank, German Gref, assured clients that the bank does not plan to convert foreign currency deposits into rubles: “There is no need for such options, they are not being considered and have not been considered in any even the worst scenarios.”

Liana Faizova